How to Get Money to Buy a House

The days of zero-percent-down financing for new homes are gone. Today's lenders are looking for applicants who have a nest egg--anywhere from 5 to 20 percent--to offer as a down payment on their new home. Plus, if you have a sizeable down payment, you won't need to pay for private mortgage insurance each month, along with your house payment. So how do you get this money? Here are a few ideas.

Difficulty: Moderately Challenging

Instructions

1. Sell stuff. Virtually everyone has too many personal possessions. Consider having a garage sale or listing items on eBay. An added advantage to this strategy is that you'll have fewer things to move once you get that loan.

2. Ask the seller. You never know until you ask. In today's challenging real estate market, the seller just might be willing to offer money for a down payment in order to sell a house that's been on the market for several months.

3. Borrow from your parents or other relatives. Parents often assist in helping their children purchase a home. United States tax laws allow individuals to give a certain amount (check with your accountant) in a year without requiring the recipient to pay taxes on the money.

4. Take a second job. Try blogging for money, writing online articles or working one or two nights bartending at the neighborhood saloon. That extra income will add up quickly.

5. Take a loan against your retirement account. Borrow the money from yourself by taking a loan against your 401k or IRA account. Sure, you'll pay a small amount of interest, but you'll be paying it to yourself.